On January 1, 2021, the general ledger of Big Blast Fireworks included the following account balances: Credit Debit $ 25,300 45,000 3,700 Accounts Cash Accounts receivable Allowance for uncollectible accounts Inventory Land Accounts payable Notes payable (12%, due in 3 years) Common stock Retained earnings Totals 47,000 87,100 26,700 47,000 73,000 54,000 $ 204,400 $204,400 The $47,000 beginning balance of inventory consists of 470 units, each costing $100. During January 2021, Big Blast Fireworks had the following inventory transactions: January 3 Purchased 1,550 units for $170,500 on account ($110 each). January 8 Purchased 1,650 units for $189,750 on account ($115 each). January 12 Purchased 1,750 units for $210,000 on account ($120 each). January 15 Returned 185 of the units purchased on January 12 because of defects. January 19 Sold 5,100 units on account for $765,000. The cost of the units sold is determined using a FIFO perpetual inventory system. January 22 Received $749,000 from customers on accounts receivable. January 24 Paid $520,000 to inventory suppliers on accounts payable. January 27 Wrote off accounts receivable as uncollectible, $2,600. January 31 Paid cash for salaries during January, $136,000. The following information is available on January 31, 2021. a. At the end of January, the company estimates that the remaining units of inventory are expected to sell in February for only $100 each. b. At the end of January, $5,700 of accounts receivable are past due, and the company estimates that 40% of these accounts will not be collected. Of the remaining accounts receivable, the company estimates that 5% will not be collected. c. Accrued interest expense on notes payable for January. Interest is expected to be paid each December 31. d. Accrued income taxes at the end of January are $14,000. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Analysis 1. Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1 - 10) assuming a perpetual FIFO inventory system. Review the 'General Ledger' and the 'Trial Balance' tabs to see the effect of the transactions on the account balances. 2. Record adjusting entries on January 31 in the 'General Journal' tab (these are shown as items 11-14). 3. Review the adjusted 'Trial Balance' as of January 31, 2021, in the 'Trial Balance' tab. 4. Prepare a multiple-step income statement for the period ended January 31, 2021, in the 'Income Statement' tab. 5. Prepare a classified balance sheet as of January 31, 2021, in the 'Balance Sheet' tab. 6. Record the closing entries in the 'General Journal' tab (these are shown as items 15-16). 7. Using the information from the requirements above, complete the 'Analysis' tab